The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1893-03-02
CORREsFo ND ENCE.
The Electric Light Investment.
CLIFTON FORGE. VA, March /, 1898.

MEssRs. EDIToRs:-An editorial APP
peared in the Re06e1C of February 24th,
under the head of 1.-The Electric Light
Question: | wish to take issue with
the ReUieao in regard to the propriety OF
the Council trading City Bonds for Elec-
trio Light Stock and Bonds.
am sure if the Editor of the Reo5eao
will mediate properly, Ire will agree
with me that the transfer was unwlse
as we'll as unlawful.
In the first place, the Council holds "A
shares of Stock out of sc, which is all
that has been sold to date, giving the
in the near future, there should be sold
three shares more to some one, then the
town would be in the minority on JOINT
ballot.
Some one might say, the town could
vote no more stock sold, then they couid
hold the controlling power. But Would
not this be like the fellow who found
the lump of gold-so heavy he couid not
carry it and was afraid to leave it, SO he
sat down and starved to death by it.
mean that theirs is now no working
capital to extend lines or even to pay
running expenses. :,
If the plant will not keep itself up,
where is the glory of holding tempe
rary voting power? And right mere
will remark that do not wish to be I'M
derstood to say that the Electric PianT
could not be made paying one, but l
do saw that the time is near at hand that
it will require additional capital to keep
it running. This being the case, the
town will have to invest more money or
leave the golden nugget.
The ReUie1D says at may be true that
the amount paid was somewhat more
than the actual intrinsic value OF the
property obtained, but we still think
the purchase was proper" Now L would
remind the ReUiea0 that the Amended
Charter says explicitly, that IN no
case shall the Bonds be sold for less than
their par value"
Again, the Reoieao says ''The value OF
! the Plant cannot be measured by the
cost of the machinery, but consists large
ly of municipal franchises Did not the
same Council that bought the Stock 9aoe
the franchise to the Electric Light Com
pany, less than year and half ago.
| Then why should they borrow money on
| twenty years time to buy the franchise
back? If this is necessary, L think 1t
time that there should be a guardian
| appointed to take care OF the business
of the Council.
agree with the ReoieaO that town
or city should in all cases retain absolute
control of their water works and light
appliances, but does it not look very
bad and unwlse to give franchise away
one year and borrow money on twenty
years time to buy it back the next year.
Why, sir if this should happen in one OF
the large cities it would be looked upon
as bad faith.
Is this not robbing the tax payer fol
the benefit of private corporation
Does the ReUieaO think the Electric Light
Company was considerable enough to sell
lust enough Bonds and Stock to meet
some pressing demands and leave de-
pleted treasury, instead Of selling enough
| to northern firm to pay oil obligations
and leave enough cash on hand to make
success of the Plant? Nay, verify.
AS to the life of Dynamo, | do not
claim to be informed, bnt [ do know
that unless any kind Of machinery pays
| 90 per cent. per annum, on the money
| invested, over and above running eX:
| penses, the operation will not be a sue
cess.
The ReUieao remarks that "the first
Dynamo made is still good and will do
good service for some time to Gomez
Yes. l will agree that, at least the
| first Dynamo will render good service at
the Worlds Fair-the same service that
the first Locomotive built or the first OF
a great many things of science in its
infancy.
Now 1 would ask the Editor of the
Re05eao, if in his wise opinion, it is law
full for town or city to take stock in a
private corporation, or can he point to
one city in Virginia that holds stock in
a private company?
| And, again, will ask the Re0ae2O, if it
| is proper for the town to take the money
the people voted to borrow for the ex~
press purpose of having the muddy
streets paved, and buy stock that will
never do the citizens any good? Never
theless they will haYe to dance to the
tune of $4,000, principal and interest,
before they get rid of it.
| Now, remember, before you render
your verdict-get on some convenient
street corner, take a sly glance at the
ladies blowing through the mud on the
sidewalks, and the poor horses laboring
through the muddy streets, then cast a
wishful eye at the city treasury with no
money, but only So 900 left of City Bonds,
out of which $4,000 has been voted to
the benefit of the long expected-to- be
enlarged Depot, and the balance can go
on the streets, for which the curling
alone will cost $1,000, for the most i'm
portant streets. SAW DUST.