The sun. [volume] (New York [N.Y.]) 1833-1916, 1894-10-20
For Mayor Of Mem York:
Hugh jackson Grant.
PLATFORM: He Knows the Ropes
THE Essential Facts"

The Herald presents thus 1.-THE essential
facts" as to the Rapid Transit scheme:
"Ths Rapid Transit Commissioners are to adopt such
plans and routes they deem best The city to
build the road operate It, but only furnish the cap
tai for its construction in the form OF bonds. The
law requires that the road shall be constructed,
equipped, and operated not less than thirty
nve nor more than fifty years by q company cor
porstion under q stringent contract with the Rapid
Transit Commissioners Such company corporation
obtain the privilege by making the highest bid
and agreeing topay the city annual rental sufficient
to meet the interest the bonds and pay on the
principal when due The road must be built and
operated the plans routes, and conditions pre-
scribed by the Rapid Transit Commissioners"
The sum and substance of this is that the
city is to put up all the money for the build
ing of the road, or, IN other words, take the
whole financial risk, for the benefit of a
private corporation. 1t is to have nothing
to say as to the method of construction.
The "plans and routes" are to be deter
mined by the Rapid Transit Commissioners
las they deem best" and the road must be
built and operated on the plans, routes, and
conditions prescribed by them, though on
that Commission the city is allowed but two
representatives, the Mayor and the Comp
troller, forming a helpless minority
In return for this signal selfabnegation
on the part of the city, a private corpora
ton, selected by the power and discretion of
the majority Of the Commissioners, is to
build ard operate the road, and to pay out
of its profits the interest the city has to pay
for the money put up for its benefit, and
one per cent. additional as a sinking fund
for the principal. II there are any remain
ing profits, the corporation is to get the
whole of them. II there are no profits, the
city will have to whistle for its money.
Those are the essential facts, and they are
very cold. The original limit of the finan-
cial responsibility for an undertaking, on
the determination of whose "plans, routes,
and conditions" the city has nothing to say,
is fixed at $50, 900, 900; but 1t may be ex-
tended indefinitely by subsequent legislar
ton. The limit of the liability of the
contracting corporation is to be 81 .0O0,-
900 in money deposited as guaran-
tee of the faithful performance of
its contract. IL will be required, be-
sides, to furnish sureties satisfactory
to the Commission. but of course, those
would be utterly insufficient practically, con-
sidering the enormous amount of money in
volved. For this million the corporation
would make itself more than good out of
profits Of the construction, which it would
take care to assess TO itself in its bid; and
then, IL it found that it could not make
enough by operating the road to pay
the annual rent to the city, amounting to
s2,25O, goo, it could throw up the contract,
retiring with whole skin financially. That
sort of contract the Herald extols as giving
to the city the important advantage of own
ing and controlling the road; and since the
road is to pay for itself this great advantage
will be secured without imposing any finan-
cial burden upon the people
Heads win, tails you lose" is ian i'm
portant advantage" but it is not usually
considered to lie on the side of the man who
bets against it.