Pittsburg dispatch. [volume] (Pittsburg [Pa.]) 1880-1923, 1892-04-28
LOWER PRICES ON PAVING.
Slow Returns on Street Improve
ments Prove to Be Costly.
BIDDERS CHARGE FOR WAITING.
Senator flinn Says 1t Would Re Better to
Pay Interest.
COUNCILS ARE TO BE ASKED TO ACT

Councils will soon have to act on the
question of paying interest to the con
tractors for street work from the time
the work is taken off their hands unit
it is paid for. The Mayor, Controller and
Chief Bigelow are also going to inspect
pavements that have been laid cheaper than
those in Pittsburg The intention of the
whole thing is to secure cheaper street paw
ing and street Improvements for Pittsburg,
and the ordinance is merely to give the City
Attorney power to put in the city contracts
the provision for 6 per cent interest on all
deferred payments on contracts.
The heads of departments and the Mayor
have informally discussed this matter for
some time. and yesterday afternoon they
held conference in Mayor Gourley's office
from o'clock to 4. The members of the
conference were Mayor Gourley, Chief
Bigelow, Controller Morrow and City At
warm and the voices could be heard on the
outside.
Trying to Cheaper Street Improvements.
When they adjourned Mayor Gourley
said: "The whole conference was on the
question of paying interest to con-
tractors and how to have the clause
inserted in the contracts. What we are
aiming at is cheaper street improvements.
The interest question was brought up by
Senator Finn on the Center avenue con-
tract, when it was said street paving cost
more here than in other cities. One of the
reasons he gave was that contractors here
were sometimes compelled to wait for their
money from six months TO two wears, and
therefore in making bids enough had to be
charged for the work to prepare the con-
tractor for these contingencies. He said if
they were sure of their money as soon as
the work was finished, or sure of receiving
interest from that time, they could afford to
do the work for 30, 60 or 20 cents less per
yard.
''Our idea is to get it down as cheaply as
possible, and nearly all the discussion was
on whether it would be wise to incorporate
this interest clause into the city contracts.
Mr. Moreland was of the opinion that it
could be done legally, but all of us believe
it will require an ordinance to go through
Councils before it can be DONE Even if
there is no trouble over the work the con-
tractor always has to wait about six months
and it is hardly fair.
Interest Clause in the Street Act.
The last street act partially covers this
for it provides that interest on street i'm
provement contracts shall begin 30 days
after the assessment of benefits and damages
have been confirmed and fixed by court.
This looks all right, but it is not. Take for
instance a contract for 100000. When the
work is finished and approved by the city,
then the appointment of a board of
viewers to assess benefits and damages
has TO be asked for. They
have to give notice for a certain time to the
parties and then if there is no trouble the
work can be finished up in from four to six
months. If any of the abutting property
owners appeal to court and then to Su-
preme Court it takes year or possibly two
wears before the contractor can get his
money. No man can afford to lay out of
that amount of money for that length of
time. OF course they must calculate on
these contingencies in making their bids. 1
think in Justice they should be allowed in
terest and then if the contract money is
held over they can borrow money until the
city is ready to square up by simply putting
the contracts up as collateral security.
Saving Money to the City.
"There were many arguments brought up
on both sides. One very good one is that
bv the city paying this interest, money
would have to be appropriated for it bv
Councils and instead OF coming off those
directly benefited it would fall on all the
citizens in general. This would hardly
seem right, yet it possibly can be remeded
/ believe this clause in the contracts would
save money to the city, for it would bring
into the paving business people who now
have not capital enough to bid for fear of
being shut out of their money for too long
a time. With such contract they could
borrow money and the result would be
great deal cheaper paving for Pittsburg"
When Controller Morrow was seen he
said "We discussed the street improve
ment matter thoroughly, and definitely de-
cided on two things. That Councils will have
TO act in the matter of paving interest on
deferred payments and that we will ex-
anime the street pavements that have been
laid cheaper than those in Pittsburg. The
payment of this interest will have to be
provided for by fund set apart in the
regular appropriation ordinance, but it
will be hard matter to tell each wear Just
how much will be needed each year for this
epeclnc purpose.
Controller Morrow's Little Joke,
During the progress of the conference the
door was opened and Controller Morrow
was heard asking the Mayor to call down
Chief Bigelow for paying too much for
horses. The Mayor said it was not his bus
iness and the Controller was asked about it
and said: We were only joking. L am
perfectly satisfied with the prices Mr..
Bigelow pays for horses did think he
was paying too much, but when
made inquiries among such men as
Arbuckle and jenkins who buy a
great many horses, L found the city was get
ting theirs cheaper 1 never object to a
horse that costs less than $780, and ali that
have been purchased recently have been
under that figure. The highest has been
S235."
Hearings were held by the Board of
Viewers yesterday on the grading, paving
ami curbing of Melwood street from the
bridge to the city line, Thirteenth ward,
and also on Howe street from Ivy to High
land. Many claims for damages were en-
tered from both streets.
Allegheny County Sunday School Institute.