The record-union., 1893-06-21
THE TORONTO METHOD.

In the city of Toronto, Canada, a sys-
tenn is in operation for 'inducement" of
manufactures to be located in that city.
The method there employed is interest
ing as illustrating the idea entertained of
such policy in neighboring country.
In the official reports we find in one
case recently that D. C. Adams was ap-
piled to to establish a rolling mill in that
city. He replied for himself and COM
pany that he would do so if sufficient in
ducement were offered to make it an
object to remove plant to Toronto or to
erect a new one.
Thereupon conference through com
mittee agency was had, and the PROPOSE
tions agreed to were, lease of certain
site for twenty-one years with privilege
of renewal. the rate being nominal, the
lessee and his plant to be freed from
taxation for ten years, except school
rates, and he to have city water at manu-
1acturers' rates.
employ from sixty to 100 hands daily
for at least nine months in the year,
from December l, 1898, to January |,
1895, and for the next two years l2O
hands, and for the succeeding years 200
hands year, strikes, riots or civil COM
motion closing the works to operate to
him fC, fIo1 Il,
closed
The lessee was bound not to assign.
sublet or use the property for other pur-
poses than manufacture Of iron or steel
or some other manufacture satisfactory
to the council. Failure for six months
TO operate the works was to work forfeit
ure of the lease and privileges granted.
For some reason not explained the bar
gain fell through and was cancelled in
March of this year-but the statement
illustrates how Toronto operates in en-
couraging the setting up of industries,
and how the laws permit the city to ex-
empt from taxation and to contract for
industrial promotion.
Another case is found in which the bar
gain was closed and will probably 90 into
effect. The Ontario Iron and Steel Com
pany bid tor location in Toronto under
the ''inducemenp' plan. Its capital is
stated to be 81 ,OOO. 200, and good portion
of it was held in stock by citizens Of
Toronto. They thereby assumed risks
as stockholders, but it does not appear
that such stock taking was part OF the
bargain.
The report shows that other cities were
bidding for the works, and the company
stood ready to locate where the best offer
was made, other conditions being de-
sirable. The Council of Toronto by a
committee put in its bid, and contract
was closed April 10, 1898. By this con-
tract, a long and very explicit one, we
learn that the city gave 100 acres of land
that needed filling. The company wished
the city to fill five acres of the site, but
this the council refused to do, as also to
plllLS dLA COnCIGle lOT
foundations. But the city did agree to
give the company $4,000 for filling and
piling purposes, the company TO fill fifty
acres for that sum and to use the money
for no other purpose.
The company binds itself to do the
work, establish the plant, and have the
furnaces in operation by January l, 1894,
and to employ not less than seventy We
men continuously in operating the works
The agreement included exemption of
the capital and property of the company
from taxation. The works to be erected
to cost, on estimate, 100000 in excess of
the filling and piling for foundations. etc.,
and the city to construct certain roads and
bridges. 1t was also expressed as an esti-
mate that besides the seventy-five men TO
be employed in the works as minimum
number, from 700 to 500 will be employed
in mines and forests to supply the mills
with material.