The Austin weekly statesman. (Austin, Tex.) 1883-1898, 1893-10-05
THE DAM.
Mavor McDonald's Message as the Dam
andits Future Prospects.
AUSTIN, Oct. 2, 1893.

and its Future frosptcts'
AUSTIN, Oct. 2, 1893.
Gentlemen Of the City Council
Sometime since a resolution asking
for information concerning the water
and electric light system, now under
was introduced N the
council. Although theresolution was
not adOptedby your honorable D0dy
deem it but proper to give the lnlor'
nation asked for, on account OF the
INQUIRIES that have heen made by
some of the aldermen and many Of
our citizens.
The annual reports from the board
of public works have been full, clear
and correct, but they seem to be onl y
dimly remembered by soma, and III
presenting the facts md figures con-
nected with our great enterprise L
must necessarily mention many
things that you are already familiar
with in order that the v hole matter
may be fully understood by the gen.
eral public. ...
The water supply OF Austin
has for a long time been furnished
by private corporation which has
been unable to give satisfactory SER
vice, especially in the higher portions
of the city, on account OF many miles
OF its main pipes being only one ana
a half and two inches in diameter.
Having become satisfied that the
water company, which already had a
bonded debt OF more than four times
the cash value vi its entire plant, could
not replace its wornout machinery or
iucrea its capacity ourpeople wisely
tJ take the matter In
their own hands and build water
and electric light system adequate for
the needs of our growing city aud
with the importance OF
the capital city OF Texas, and for that
purpose voted for the issuance ol
bonds to the amount of 81 400, 900 with
a unanimity that stands unparalleled
in the history of cities.
The board of public works was or
ganized in accordance with the pro-
visions OF the ordinances of the city
council, and plans for the work were
at once prepared. Proposals for build
ing the q eat dam were solicited and
bonds were advertised for sale.
The friends of the existing water
company at once began warfare
upon the city, which, for malice,
meanness and meAdacity, has rarely
been equaled. They used every
means in their power to retard ouI
work and prevent, if possible, the sale
of our bonds. They flooded the coun.
try with anonymous communications
assailing the credit OF our city andat-
lacking the integrity of our citizrns.
They Instituted suits with the hope OF
having our bonds invalidated and of
the collection of taxes.
After failing in all their efforts in the
courts and after our bonds were de-
clared legal in every respect by the
court of last resort the representative
Of the holders of the water company's
bonds took up the fight, and they
nave to this day continued villain
)us crusade against us, using
avery disrepUtab'e means to-
prevent further sales of our bonds.
They established so.called financial
paper for the express purpose of de-
aiming our bonds. They hired known
to write false statements and
candalous articles concerning US,
md sent out literature Of the most
ibelous character in every direction.
They have done all this for the our
)ose of harrassing us. and with the
rope of keeping the will of the peo-
Die from being accomplished. But for
his bitter and malignant warfare OIL
he part of our enemies we would
AYE sold the remainder of our bonds
year ago, and our entire system
would have been finished during the
PRESENT administration.
Notwithstanding the attitude OF
he water company the city has been
willing to treat it fairly, and in A pril,
1872, a committee from the board of
public works, under authority confer
ed by the council, made an effort to
open negotiations for the purchase OF
he company's plant, but every over
lure was rejected and schedule of the
could not then be obtained.
The time for even contemplating
the purchase by the city of the water
broken down plant has, in
my opinion, long since passed.
We have been legally advised that
the present water company has no
legal status, has no franchise from the
city, and is trespasser in our streets.
Suite have been instituted for forfeit
ure OF its charter from the state, and
for placing it in the hands of a receiver
tor the purpose of closing up its affairs.
The Eastern bondholders of this
hoping TO prolong its exist
ence and to better enable it to Cypress
the people, have, through the United
States court, obtained the appoint
ment of receiver who proposes to
collect from our citizens an amount
sufficient to pay the interest On their
bonds, which, as already stated, equal
in amount at least four times The cash
value of all the company's property.
The city has for years been
paying to this company an
price for fire
protection and water service, and now
we are blandly told that it is because
the city council at last re-
fuses to any longer meet the
company's unjust demands. Our
citizens are being robbed by being
made to pay extraordinary and un.
reasonably high water rates to meet
the interest on the company's exces.
sive debt and pay its operating ex.
penses, and yet, during considerable
norton of the month mat pasaad